During my years in college, earning a six 6 figure income was the ultimate dream. I would spend hours wondering how much is 6 figures really worth and what it could do for me. Much time was spent looking for jobs that paid a six-figure salary, and I would try to figure out how to land one of those opportunities for myself.
Those college years now seem a long time ago – almost 20 years in my case and:
Does a 6-figure income hold the same magic now as it did then?
What does it truly mean to earn six figures?
How can one achieve this milestone?
In this guide, let’s dive into the concept of 6 figure incomes and provide actionable steps to help you reach this target. So let’s get started.
How Much is 6 Figures, And What Can It Do?
Definition of 6 Figure Income
You will achieve 6 figures when you have an income or annual salary that falls between $100,000 to $999,999. Achieving this income level is a significant milestone in your journey to financial independence. It represents financial stability, comfort, and even luxury that can provide an excellent lifestyle and financial security.
But how much is 6 figures worth and is it the same everywhere?
Well, No!
How far that income goes or Is worth depends significantly on the location. E.g., If you live in New York City or San Francisco, a $100,000 income may not go too far compared to if you reside in a smaller city or even a cheaper country such as Thailand or India.
All six-figure incomes are not the same. A lower six-figure such as $100,000 to $150,000, will not make you filthy rich, but it is an important milestone nonetheless and fastens your journey towards financial freedom.
Benefits of Earning a 6-Figure Income
No matter what you earn, you can improve your financial position by improving your money habits. But a higher income helps.
Financial Stability: By earning 100,000 dollars or more, you will have a decent amount of money to cover your expenses and investments.
Comfortable Lifestyle: A high income allows you to live a comfortable life, including owning a home, traveling, and enjoying various luxuries.
Retirement Planning: A 6 figure income enables you to save for retirement and plan for your future.
Reduced Financial Stress: Earning this income level can reduce financial stress and provide a sense of security.
Financial Independence: Earning a high income is often the first step towards achieving financial independence. A 6 figure income will put you in a position to save and invest more of your money.
It all sounds good, but earning 100,000 dollars in income takes work. It requires you to be persistent, work hard, and strategically approach your career or other income-generating activities.
The benefits outweigh the effort to build this income level, and it can ultimately lead to a more comfortable and fulfilling life.
The critical thing to know is that many people earn a 6 figure income, and it’s entirely possible for you to do so, no matter your background.
But how do you go about earning it?
Understanding the Different Ways to Earn a 6-Figure Income
It took me 2 degrees, including an MBA, six years of work experience, and, most importantly, a lot of hard work to get to $100,000 in annual income. Since graduating, I was absolutely obsessed with getting to the 6 figure mark.
I know numerous people who got there much earlier without formal education. I also know of others still aspiring to get to 6 figures after formal college education and years of experience.
The number one thing that matters in getting to this goal is your Attitude!
Many people wonder how much is 6 figures and what it can do for their life? Wanting to earn a six-figure income is a dream for many, but it requires strategic planning and execution.
While there are multiple ways to achieve this financial milestone, let’s explore some methods you can use to generate this level of income and achieve your financial goals.
High Paying Job
Many traditional jobs offer the opportunity to earn a 6 figure income. One profession that straight away comes to mind is Medicine. But there are numerous other professions too:
- Investment Banker
- Corporate Accountant
- Engineer
- Actuarial Analyst
- Computer Programmer
- Marketing and Sale Manager
- Management Consultant
- Real Estate Broker
- Lawyer
- Pilots
- Senior Managers
The list is endless, and many professions offer the opportunity for promotions and growth to allow you to get to a high-earning position. Most of these professions require some formal education or training.
You Don’t Need A 6 Figure Salary to Earn A 6 Figure Income
The good news is that these traditional professions are only one of the ways to earn 100,000 income in the Internet age.
This is where side hustles are so important. You can be your own money-minting corporation by incorporating passive income and side hustles into your life.
You can use these to supplement your salary or grow them large enough that you don’t have to rely on a traditional salary.
These days it is easy to start a home-based business while continuing to stay in your day job. Many people now earn extra or even full-time income from their side hustles. You could, for instance, be a blog owner, an affiliate marketer, a freelancer, a virtual assistant, a stock trader, a drop shipper, etc.
Another way to get to the magic mark is earning passive income through investing. Real estate is one of my favorite side hustles to earn passive income. Investing in the stock market through index funds can also be a good source of passive income. You can also create a passive income by writing a book or creating and selling a course.
Becoming a 6 figure side hustler is very much possible these days. You don’t need a college degree but a passion for learning and the right attitude.
How Much Is 6 figures And How To Achieve it
Now that we know that how much is 6 figures and that is a significant milestone in your financial journey, what does it take to get there?
Hard work, commitment, and dedication!
Set Clear And Measurable Goals
Having clear and measurable goals is the first step to achieving most things. Unless you know what you want, you are just shooting in the dark.
We cant be directionless!
Your financial goals are no different. Build a clear understanding of what you want to achieve and how you plan to do it. Start by creating a vision board or writing down your goals to clearly understand what you want to accomplish. Make sure your goals are SMART (specific, measurable, attainable, relevant, and time-bound).
SMART goal setting will ensure you stay focused and motivated on your journey to achieve a high income and, ultimately, freedom.
Investing In Yourself
What would happen if you tried to drive the car without first learning to drive and obtaining a license? It would most likely crash.
The same is true when you are trying to step out of your comfort zone and trying to do things you haven’t tried before to increase your income. If your path to a 6 figure income is a traditional profession, then you need to get a formal education such as accounting, medicine, law, etc.
If you are hustling, this can mean continuously upgrading your skills and knowledge to stay ahead of the game. You could take courses, attend seminars and read books.
Continually learn new skills, opening up new and exciting income avenues you have never considered.
Your Network Is Your Networth
Network Network Network.
This is the first and the best piece of advice my former boss and mentor gave me when I joined the finance industry.
Whether you work in a profession or striving to build an income from side hustles, a strong network is essential. Networking connects you with new and influential people and can help you find new opportunities, connect with like-minded professionals and learn from industry experts.
Hustle In Everything You Do
Hustling doesn’t just mean earning money from side businesses.
Hustling is an attitude.
A hustler constantly finds new ways to do better in whatever they do. It would be best if you found ways to increase your earnings – negotiate a higher salary, win more clients, make money for your company so you get promoted, and so on.
Be willing to take calculated risks and look for opportunities to increase your income.
Don’t Listen To The Crowd
Do yourself a favor, and don’t listen to people unwilling to put in the effort needed to earn a higher income. There will always be those who will blame other people and external factors for their condition.
Ignore their advice. It will do nothing but make your journey that much more challenging.
A telltale sign of people who will spread negativity around you is the myths they perpetuate. These people will never achieve the success you will. Let’s look at some misconceptions they believe in and spread.
It’s All About Luck
This is one excuse I have heard all sorts of people around me make. While I agree that luck has a big part in one’s success – it is only one factor. Someone born in a developed country has already won the lottery compared to someone born in a less privileged country.
But does it mean everyone born in the United States has achieved financial success, or does it mean that someone born in a third-world country in a poor household cannot be wealthy?
I have always believed that hard work, dedication, and willingness to learn are all ingredients for success. Sometimes we make our luck.
“Luck comes to those who work hard and are prepared.”
– Yours Truly 🙂
Many successful people will tell you they created their luck by putting themselves in the right place at the right time and taking advantage of opportunities when they arose.
You Need a College Degree From a Top University
Another common misconception is that you need a college degree to earn a six-figure income.
Indeed, a professional university degree will increase your chances of earning a higher income and provide opportunities; it is certainly not a requirement.
The list of successful entrepreneurs and business owners who don’t have a college degree is long. What’s more important than a degree is a willingness to learn, adapt, and grow.
Continuous education and personal development are key factors, not a formal degree.
It’s Only Possible In Certain Industries
This one simply isn’t true and has no basis, in my opinion. Every industry has high earners, from healthcare to finance to technology. What’s common among those high earners is that they outperform irrespective of their industry.
What’s important is finding your niche, developing your skills, and providing value to your clients or customers.
If you’re passionate about what you do and willing to work, you can earn a six-figure income in almost any industry.
Conclusion
Achieving a six-figure income is a challenging feat. It requires hard work, dedication, and a lot of effort. But with the right mindset, determination, and a clear understanding of what it means, you can attain this financial goal.
Earning six figures is not the end goal but a means to achieve financial stability and freedom. It is essential to have a clear plan, to invest wisely, and to continually educate yourself to stay ahead of the game.
Don’t be discouraged by setbacks; instead, use them as opportunities to learn and grow. Remember to celebrate your successes and always strive for improvement.
Now that you know, how much is 6 figures and what it can do for your financial journey – It’s time to go out there and start your journey toward financial success!
